PRESS RELEASE

June 16, 2011 FOR IMMEDIATE RELEASE Contact: Lisa Goldman, Assistant City Manager, 510-747-4700

City of Alameda Reaches Agreement with Firefighters Union on MOU Containing Important Concessions Today, the City of Alameda and the Alameda Firefighters (IAFF Local 689) announced an agreement on a Memorandum of Understanding (MOU). The MOU

covers the period from January 3, 2010, to June 29, 2013, and includes the following key terms: New firefighters will no longer receive City paid retiree medical coverage for their spouses or partners. Current firefighters will see some new limitations on the level of City contributions to their health care coverage, both today and in the future as retirees. There are no pay raises in the MOU, which will mean no increase in firefighters' compensation over a period of six years. Firefighters' contributions to their pension program (PERS) will increase by 22%. (Employee contributions will rise from 9% of salary to 11% of salary.) Alameda Mayor Marie Gilmore hailed the contract saying, "This contract makes significant long-term progress on some of the thorny long-term financial challenges facing Alameda. While more remains to be done, I am grateful to the firefighters for the concessions they have made and their willingness to act more as a partner than as an adversary. All of us in Alameda, both inside and outside of City Hall, need to work cooperatively to stabilize our City's fiscal future."

"We have agreed to pay more towards our retirements because we understand how important it is to help balance long-term demand with long-term revenues," said Domenick Weaver, President of IAFF Local 689. "The Firefighters are proud to be a part of the City's budget solution and remain committed to working with Alameda's leaders to promote a fiscally sustainable and safe community." The full MOU is attached to this release. City staff's report on the MOU is also attached to this release. ####